Futures Close Report 12th  June

The USDA has cut its Russia wheat harvest estimate to 68.50 million tonnes from 72.00 million tonnes.  Domestic US forecast was raised by 6 million bushels to 1.827 bn.

Australia on Wednesday cut its forecast wheat production from 23.7 million tonnes for 2018/19 to 21.9 million tonnes (circa 8% reduction) as prolonged dry weather across the country’s east coast reduces production outlook. There were also warnings of the possibility of further production downgrades.

Large wheat tender from Egypt for 420k tonnes went to Russia and Romanian origins – confirming Black Sea grain as the cheapest current origin.